Executive summary
Mackers is a software development company that has been making customized software applications for customers depending on their specific needs. The company makes software for banks, supermarkets and other corporations. In addition, the company emphasizes on the security of its products to protect the interest of its clients and protect them from fraud. However, due to the security and reliability of its systems, the company has been requested by some companies to make software applications, which are applicable for use by Android, iPhone and iPad mobile devices.
This has facilitated the development of Mackers mobile browser, which is specifically made for use by the iPads, iPhones and Android mobile devices that are relatively faster than the other conventional phones but are slower than desktops.
Mission statement
Making software applications for the iPhone, iPad and Android mobile devices which will have integrated security systems and easy to use by the customers.
Key objectives
- To develop software application that can be applicable to Android, iPad and iPhone mobile devices.
- To develop secure software applications that can be easily downloaded by the users of iPhone, Android, and iPad mobile devices.
- To develop a software application which can easily be integrated with other software to help it adjust to the changed in the market trends and technological advancements
- To develop a secure system that can be used by corporate clients to do their transactions while on the field using their iPhones, Android or iPads mobile devices.
- To develop a software system that is easy to use, yet it can undertake so many tasks as required by the user.
Specific Objectives
- To sell at least 40,000 units to the corporate consumer segment; this will give the company revenue of $ 40,000,000
- To sell at least 100,000 units to the small and medium sized business segment thereby helping the company get revenue of $ 50,000,000
- To sell at least 300,000 units to the individual market segment that will make the company get revenue of $ 30,000,000.
SWOT analysis
Strengths
The company has secure software applications, which are trusted by our clients. The company has other products which are trusted by the consumers. The company also has a highly experienced labour force which is capable of utilizing their skills to make highly innovative products.
Weakness
This being a new field that is prone to change due to the rapid change in technology, the company must invest highly in research and development. However the company lacks enough capital to invest in the research and development.
Opportunities
There is a very large market for the Android, iPhone and iPads mobile devices. The market for these devices is also expected to grow in the foreseeable future hence enabling the increase in our markets. These mobile devices are also finding various internet based applications hence leading to an increase in the market of our product.
Threats
The rapid change in technology which may come up with devices which the software cannot integrate into. Another problem is the lack of experience in the software requirements of the mobile devices since this is a new technological development. Piracy of our products is also a major concern. The company also needs to create more additions to ensure the originality of the software application compared with other software applications already in the market.
Probable Success
Analysis of the SWOT shows that the company has the potential to grow and increase its revenue exponentially. The company has a ready market for the products, and due to the fast development and integration of the mobile devices in the application of very many activities, the potential for the growth of the software company is very high. In addition, the manufacturers of the mobile devices have a high degree of trust in the company since it has proven over the years of its existence that it produces products, which are of high quality in terms of security consideration that is vital for the proper working of the software. Moreover, the company’s products are also user friendly due the ease with which new clients can comprehend its features.
Situation Analysis
The Android, iPad and iPhone are recent technological developments with the most recent being the iPad. These mobile devices are slowly replacing the traditional devices – mainly the desktop – used to access the internet. These mobile devices are now made with many incorporated services, which enable them to perform a variety of functions.
Nevertheless, the fast development in the use of the mobile devices has software development companies to think of ways to tap into the mobile devices market, which is worth billions of dollars.
Overview of the industry
The rate of growth of the mobile device industry is so fast, with three times the number of mobile devices being sold compared to the number of desktops being sold (Byrne Para 1). This is because most people see the need for a phone than for a computer. For instance, a person may buy the phone not just for communication purposes but also for performing other transactions.
These mobile devices are convenient to their portability and they are generally cheaper than computers. In addition the mobile devices are the main devices which are used to access the internet. Therefore the mobile devices are slowly replacing the desktop in the performance of computing tasks. The mobile devices are a companion of the normal people in their daily activities. The application of these mobile phones in the performance of certain tasks is numerous, with new applications coming up often. The applications are in all fields of the daily life of the users of the mobile phones (Fling 2).
Most of these applications are mainly internet based. In addition, use of these products is expected to increase over the near future (Allen et al 1). Therefore, development of an internet software application, which is applicable to the Android, iPhone and iPad mobile devices, is a very viable venture for any software company. This can be a very lucrative venture if the companies are able to come up with a product, which is applicable to many areas.
It is estimated that in the next five years the use of internet via mobile devices will have overtaken the use of internet via desktops and laptops (Watters Para 1). Therefore, the company needs to position itself well to reap the benefits of this development
Position of the company within the industry
The company has been involved in the development of customized software applications since 1992. The company currently holds a 7.5% of the customized software application development market The Company is beginning the development of the mobile application software. To this end, the company has employed new software developers who have specialized in the development of the software applications for mobile devices. Making the software applications of the Android, iPhone and iPad mobile device, The Company expects to increase our market share to 10% in the next five years.
Potential market segments
The company is targeting the largely untapped segment of the mobile device software application development market. This segment continues to grow despite the economic slowdown. This market is expected to grow by 21 to 24 % in the year 2010. The software market has a value of $ 5 billion. The company expects to benefit from the growth in the use of mobile devices and the economic recovery.
The main market targeted by the company is divided into three main consumer segments
- The corporate segment.
- Small and medium sized business segment.
- Individual consumer segment.
The corporate clients will be charged not less than $1000 for use of the product. This product will provide a variety of services to the corporate clients. The product for the corporate clients will also provide the most available options to the users. This product will be custom made and will have enhanced security features to protect the interests of the corporation. The server can also monitor the activities of the employees using the product. In addition this product gives the server the option of providing the options available to different employees. The senior employees will have the most available options with the options decreasing as the rank of the employees also decreases.
Small and medium sized business will receive the product at a cost of $200 to $600. This product will have restricted features and the clients can customize the product to fit their individual business requirements
Individual consumer segment will be able to get the product at a price which does not exceed $100. This product will have the least capabilities since the individual consumer is not involved in so much computation activities which require advanced applications. The individual consumer mainly uses the product for entertainment and communication.
Target market and positioning
The targeted market is mainly the corporate customers and young and fresh graduates. The target market is mainly the relatively young and fresh graduates. These fresh graduates who are in the employment market are very conversant with the technological developments. They use iPhones, iPads and Androids in their daily activities. These mobile devices have been integrated to their way of life. Therefore these people usually carry and use these devices anywhere. They may use them for communication or just for entertainment. These consumers are relatively young and have income of $50,000 to $150,000. In addition these young graduates work for big corporations which have integrated IT to their daily undertakings.
Therefore finding a software application that can be integrated into these devices will of great help. The software will enable the workers to work from anywhere. This would increase their working hours and make work to like their way of life. This would of great help to the organizations, as this would lead to increased output of the employees.
Product
There are several products similar to the internet software application product of the company which are in existence in the market. These products can be used by the companies to perform various functions which pertain to their communication and transfer of the company’s data to the internet. However most of these products are not compatible for use in Android, iPad and iPhone mobile devices. Therefore this limits their usage as they can only be used at the workstations.
The uniqueness of the product compared with the other products already in the market is its simplicity in its use. In addition this product is comparatively faster than the other products as it is able to convert the information to a smaller size which can be used by the mobile devices.
The product also offers the option of monitoring the devices used by other workers in case of the corporate pack of the software. The server is also able to have live interaction with the employees and help in accessing highly restricted and confidential information. The system also allows the interaction of the employees with all the other employees who use software. This facilitates the sharing of ideas and help in team building. However, despite the above features the software application has highly advanced security features, which protect it from fraud.
Product identity
We will continue to use the name “Mackers”. This is because this name is popular and our customers’ trust of the brand name has a long history. This is mainly due to the security of our software solution. Our software applications are also very innovative and incorporate the existing technological developments. The security of our software solutions will encourage our users to use the software application for their work related activities.
The innovativeness of this tool also encourages the users to use it even for entertainment and incorporate the use of the product into their way of life. The successful use of the product as a class statement finally underlines our quality. The successful use of the product in iPads, iPhones, and Androids will further enhance our brand name and hence increase the sales for other products with our brand name.
Mode of distribution
This product, being a software application, the company intends to have the bulk of its sales being done via the internet.
The company has will also employ direct sales which will mainly target the corporate segments of the market due their specific needs which have to be tailor made to suit them more effectively.
Product Promotional methods
The company intends to use the internet as a main tool of its advertisement. The senior employees of the company will also give talks to corporate clients by directly involving them. This would involve showing them practically how the product works and various methods in which the product can be customized to suit the clients’ needs.
The company will also employ the use of posters and flyers targeting mainly the individual and small and medium sized business segments of the consumers. The company will allocate $ 2 million for this mode of advertisement
The company intends to launch its product through “Technology” magazine. The company intends to put 6 full page advertisements in Technology magazine which covers the whole country. This would cost the company $ 1 million for the six advertisements. In addition the company intends to include a 3 page feature of the product to explain its use in the Technology magazine. This feature will cost the company $ 1,000,000. The company also intends to spend another $1,000,000 on internet advertising of the product. In addition, the company intends to advertise via billboards; this will cost the company $ 10 million. Moreover, the company will also extensively advertise the product on its webpage where the product can be bought and installed directly to the mobile devices.
Pricing of the product
The price of the product is usually valued at $ 100 to $ 1,000. This mainly depends on the product specifications due to the type of consumer of the product. The corporate consumer will get the product at the highest price due to customization of the product to fir his needs, whereas the individual consumer will get the product at the least price due to limited capabilities of the product and since he uses the product mainly for entertainment. This year we plan on selling 20,000 units to corporate clients, 50,000 units to the small and medium sized business segment and 100,000 units to the individual consumer segment of the market.
Product costs and breakdowns
The pricing of our product is mainly determined by the demand due to the number of the iPad, iPhone, and iPhone mobile devices. Our main expenses are the research and development of the product to enable change of the product from time to time so as to cope with the competition and integrate the customers’ requirements. The fixed costs include labour, rent and utilities and promotion. The other costs which the company incurs vary from time to time.
Dealing with competition
The company will mainly target the high-end market of the population. Therefore the company has set a lower limit of the price of a unit of the product at $75. This would make the product to be valued and hence a reduction in the price of the competitors would
Financial Projection
The company projects an average growth of 20% for the each year due to the continued use and application of the iPhone, Android, and iPad mobile devices. This will consequently lead to an increase in demand for our product. The cost of advertisement is projected to increase by 10% each year. The cost of research and development is also projected to increase by an average of 10% each year. All the other expenses are expected to increase by a rate of 3% for each year.
Works Cited
Allen, Sarah et al. Pro Smartphone Cross-Platform Development: IPhone, Blackberry, Windows Mobile and Android Development and Distribution. NY: Apress. 2010. Web.
Byrne, Phil T. “The Mobile Application Development Industry and the Potential Impact of Android.” EzineArticles. 2010. Web.
Fling, Brian. Mobile Design and Development: Practical Concepts and Techniques for Creating Mobile Sites and Web Apps, CA: O’Reilly Media, Inc. 2009. Web.
Watters, Audrey. Mary Meeker’s Internet Trends: The Future is Mobile. 2010. Web.